“The Once in a Blue Moon” Rio Tinto’s Argyle Mine Blue Diamond Tender
On April 29th of this year, Rio Tinto Diamonds announced
that the sale of its collection of rare blue diamonds, called the “Once in a Blue
Moon Tender,” far exceeded company expectations and set record prices. No one except
Rio Tinto and the buyers are privy to actual prices, but suffice it so say, we can
only guess that prices for these diamonds are not for the weak at heart. Or as some
might say, “If you have to ask, you probably cannot afford them.”
The Blue Tender was a first for Rio Tinto. Blue diamonds
are extremely rare, and to sell a collection of them at once is extraordinary. The
collection of blue diamonds included a range of rare blues, and even more rare violet
diamonds; 16 lots in all, weighing in total, 287 carats. The blue collection was
show cased in Tokyo, Hong Kong, and Perth with silent bids closing on April 8th.
“Successful bidders were global – no one country dominated.”
Josephine Archer, Sales and Marketing Manager for Argyle
Pink Diamonds, stated, “We have been overwhelmed by the enthusiasm from new and
existing colored diamond collectors around the globe, especially in such a challenging
economic environment. With only ten years production left at the Argyle mine there
is clearly a growing awareness that the opportunities to purchase these collections
are rapidly diminishing.”
The Argyle mine is most noted for its huge production of
brown (champagne) and rare pink diamonds. While the rare pinks go up for silent
auction annually, the Once in A Blue Moon tender was sourced from several years
of production. According to Jean-Marc Lieberherr, General Manager for the sales
and marketing of all diamonds from Rio Tinto’s mines, “it was a bold move, with
numerous lots selling in excess of the reserve prices, which is a great sign in
the lead up to our annual Pink Diamond Tender.” (The Pink Diamond Tender is a Fall
event. We have our invitation to view the 2009 Pink Diamond Tender, so make sure
to come back here sometime in September to read and see more on the incredible Argyle
Pink Diamonds.)
Robyn Ellison, Communications Manager for Rio Tinto Diamonds,
says that, for those unfamiliar with Rio Tinto’s Argyle Diamond mine, you should
know that it is the world’s only consistent supplier of rare fancy intense and vivid
pink, and purplish-pink diamonds, and provides a very large proportion of the world’s
champagnes, and cognacs, as well as the rare blues and violets.
The mine was opened in 1983, and at its peak the mine produced
more than 40 million carats of diamonds per year. Recent production numbers have
ranged in the 20 to 30 million carats per year.
The Argyle mine is the remnant of an ancient volcano. Today
most of the valley floor is occupied by the Argyle open pit. The Argyle Diamond
mine is currently in transition, moving from open pit to an underground mine, which
on current estimates will extend the life of the mine just 9 more years, to 2018.
About Argyle Pink Diamonds The pink diamonds produced at
Rio Tinto’s Argyle Mine in Western Australia, are highly coveted as one of the world’s
most sought after gems. There are several differences from the Argyle Pinks to other
pink diamonds found in southern Africa and in South America.
While it is not so unusual to find larger faint, pastel,
“princess pink” diamonds, in the 5, 10, and 20 carat range, from Southern Africa,
the color of the Argyle pinks is much more saturated and darker in tone – think
hot pink, bubble gum, and raspberry. But size is a challenge, as most of the Argyle
pinks weigh less than 2 carats. The best Argyle pinks, roughly 40 to 65 diamonds
per year, are reserved for their annual Pink Diamond Tender.
Of course,
when it comes to asking how much, you can rest assured that value is directly related
to their rarity. Rio Tinto says that for every colored diamond found, there are
at least 10,000 colorless/near colorless diamonds. This all has to do with the physical
conditions needed to create a colored diamond. And with the possible closing of
the mine in just 9 years from now, the rarity factor will weigh in heavily at future
Tenders.
For more information on Rio Tinto and the Argyle Diamond
mine, log onto their website at
www.argylepinkdiamonds.com.au.
Rio Tinto Diamonds
Rio Tinto operates a fully integrated diamond exploration.
Rio Tinto is one of the world’s major diamond producers through its 100 per cent
control of the Argyle mine in Australia, 60 per cent of the Diavik mine in Canada,
and a 78 per cent interest in the Murowa mine in Africa.
These three mines allow Rio Tinto to be present in all
segments of the market. Rio Tinto’s share of the production from these three mines
was approximately US$1billion in 2007 and sold through its Diamonds Sales and Marketing
headquarters in Antwerp, Belgium.
Rio Tinto Diamonds is a leading supporter of the Kimberley
Process as well as a founding member of the Council for Responsible Jewellery Practices.
Website: www.riotintodiamonds.com
About Rio Tinto
Rio Tinto is a leading international mining group headquartered
in the UK, combining Rio Tinto plc, a London and NYSE listed company, and Rio Tinto
Limited, which is listed on the Australian Securities Exchange.
Rio Tinto's business is finding, mining, and processing
mineral resources. Major products are aluminum, copper, diamonds, energy (coal and
uranium), gold, industrial minerals (borax, titanium dioxide, salt, talc) and iron
ore. Activities span the world but are strongly represented in Australia and North
America with significant businesses in South America, Asia, Europe and southern
Africa. Website: www.riotinto.com
RGNR
|